ML17299A366
| ML17299A366 | |
| Person / Time | |
|---|---|
| Site: | Palo Verde  |
| Issue date: | 06/11/1985 |
| From: | Van Brunt E ARIZONA PUBLIC SERVICE CO. (FORMERLY ARIZONA NUCLEAR |
| To: | Office of Nuclear Reactor Regulation |
| References | |
| ANPP-32813-EEVB, NUDOCS 8506140453 | |
| Download: ML17299A366 (58) | |
Text
I
- REGULATO, INFORMATION DISTRIBUTION TEM (RIDS)
ACCESSION NBR:8506140453 DOC ~ DATE: 85/06/11 NOTARIZED:
NO DOCKET FACIL'.STN"50 528 Palo Verde Nuclear Stationg Unit ii Arizona Publi 05000528 STN-50-529 Palo Verde Nuclear Station~
Unit 2~ Arizona Publi 050005?9 STN 50-530 Palo Verde Nuclear Stationi Unit 3i Arizona Publi 05000530 AUTH ~ NAME-AUTHOR AFFILIATION VAN BRUNT<E ~ E ~
Arizona Public Service Co.
RECIP ~ NAME RECIPIENT AFFILIATION Office of Nuclear Reactor Regulationg Director S UBJECT:
Forwards Endorsements 22-26 to NELIA Policy NF<<266 8
Endorsements 1-8 to MAELU Policy MF-11'6 'mendatory Endorsements 17"21 to NELIA Policy NF-266 also encl.
DISTRIBUTI N CODE!
M001D COPIES RECEIVED:LTR ENCL SIZE:
0 TITLE: Insurance:
Indemnity/Endorsement Agreements NOTES:Standardized plant.
OL: 12/31/84 Standardized plant ~
Standardized plant<<
05000528 05000529 05000530 RECIPIENT ID CODE/NAME>>
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1 RECIPIENT ID CODE/NAME COPIES LTTR ENCL INTERNAL EG EXTERNAL: 24X NRC
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ANPP-32813-EEVB/JRP June ll, 1985 Arizona Nuclear Power Project 8506140453 850hii p,O. QQX 52Q34
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PHOENIX, AR12ONA Director of Nuclear.Reactor Regulation U. S. Nuclear Regulatory Commission washington, D. C.
20555
Subject:
Palo Verde Nuclear Generating Station (PVNGS)
Units 1, 2, and 3
Docket Nos.
STN 50-528 (License No. NPF-41)/529/530 Nuclear, Energy Liability Policy No. NF-266 and NF-216 Endorsements 22, 23, 24, 25 and 26 File: 85-055-026
Dear Sir:
Pursuant to 10CFR140, attached are two certified copies of endorsements 22, 23, 24, 25 and 26 to Nuclear Energy. Liability Policy No. NF-266, and two certified copies of the orginal policy and endorsements 1
through 8 to Nuclear Energy Liability Policy No. MF-116.
t If you have any questions or concerns, please contact me.
Very truly yours, P -Q cU'~
E. E.
Van Brunt, Jr.,
Executive Vice President Project Director EEVBJr/JRP/bg Attachment
- 1) Policy NF-266; endorsements 22 through 26
- 2) Policy MF-116, endorsements 1 through 8
cc: Director Region V, USNRC NRC Project Manager-E.
A. Licitra NRC Resident Inspector-R.
P.
Zimmerman
~ r I
Nuclear Energy LiabilityInsurance
~
NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION AMENDATORY ENDORSEMENT It is agreed that "Issued to" appearing on Endorsement Nos.
17, 18, 19, 20 and 21 is amended to read:
Issued to:
Arizona Public Service
- Company, Southern California Edison Company, Salt River Project Agricultural Improvement and Power District, Public Service Company of New Mexico, El Paso Electric Company, and Southern California Public Power Authority This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Nuclear Energy Liability'Policy (Facility Form) as des-ignated hereon.
No Insurance is afforded. hereunder.
John L Quattrocchi, Vice President-Liability Undermiting American Nuclear Insurers Effective Date of this Endorsemeftt March 2, 1985 Arizona Publ tc ervtce 12tpt A.M. Standard Time
- ompany, outhern faI t MNNWd+se~ompeR~al t Issued tc Ri'ver Pro ect A ricultural.Im rovement and Power District, Public Service Company of 8
For the su Date of Issue cflblng cc panies New Mexico, El Paso Electric Company, an out em a
t ornt ri ty,'y General Manager Endorsement No 22 Countersigned by
yl 4
Nuclear Energy Liabilitylnauranco NUCLEAR ENERGY LIABILITYlNSURANCE ASSOC1ATION INCREASE OF LIMIT OF LIABILITYENDORSEHENT It is agreed that:
1.
The limit of liability stated in Item 4 of the declarations of the policy.is amended to read This amended limit applies with respect to obligations assumed or expenses incurred because of bodily injury or property damage
- caused, during the period from the effective date of this endorsement to the date of termination of the policy, by the nuclear energy hazard.
2.
The limit of liability stated in Item 4 of the declarations and the amended limit of 1'iability stated in paragraph 1
above shall not be cumulative, and each payment made by the companies after the effective date of this endorsement for any loss or expense covered by t'e policy shall reduce by the amount of such payment both the limit'fliability stated in Item 4 of the declarations and the amended limit stated in paragraph 1 above, regardl'ess of which limit of liability applies with respect to bodily injury or property damage out of which such loss or expense arises.
This is to cer y
a that this is a true copy of the original Endorsement have.ng e en th ndorsement number and being made part of the Nuclear Energy ao 7,i 'iity 'Policy (Facility Form) as des-ignated hereon.
o s
H Insurance is a forded hereunder.
John L. Quattrocchi, Vice Fresident-Liability Undenvriting American Nuclear Insurera New Hexico, El Paso Electric Comp ny, and 395 Effective Date of 4
1 Bft To form a art of Policy No NF-266 Arizona Pub l i c Servi cet2:ot A.M. Standard Time Company, Southern La 1 i forni a Edison
- ompany, al t Issued to Pr nt and Power District Public Service Company of a
Sou hem C lif nia Public Power Authority Endorsement No 2
8y Counterslpnod by General Manager
P
Nuclear Energy LlabllltyInaurance NUCLEAR ENERGY LlABlLlTYINSURANCE ASSOCIATION ADVANCE PREMIUM AND STANDARD PREMIUM ENDORSEMENT CALENDAR YEAR 1984 It is agreed that Items la.
and lb. of Endorsement No.
are amended to read:
la.
ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated above is:
112.04 lb.
STANDARD PREMIUM AND RESERVE PREMIUM:
In the absence of a change in the Advance Premium indicated
- above, it is agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium is said Advance Premium and the Reserve Premium is:
$ 2 085.07 Additional Premium:
$ 732.74 P
This is to certify that this is a true copy of the original Endorsement having the endorse;ae xt neither and, being made part of the Nuclear ~nei.g I ia>>it.it:y ooXxcy (Facility Form) as des-.
i nat d hereon. lio Insurance i. ~iforded hereunder.
gna New Hexico, El Paso Electric Company, an out em a
t ornta u
For the su Date of Issue Februar 2
I 8
cribing co panies o n
'resident-Liability Underwriting John L. quattrocchi, Vice res' American buclear Insurers Effective Date of this Endorsement January 1,
1984 To form a a
p poiic NF-266 Arizona Public Servtce12:01 A.M. Standard Time ompenys ouphe'rn PaI tforntd%
i n
alt ompany of I ty Endorsement No NE-36 By Countersigned by Generat Manager
f
~
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Nuclear Energy Llabllitylnourance NUCLEAR ENERGY LIABILlTYINSURANCE ASSOCIATlON ADVANCE PREMIUM AND STANDARD PREHIUM ENDORSEMENT CALENDAR YEAR 1985 It is agreed that Items la.
and lb. of Endorsement No.
are amended to read:
la.
ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated above is:
124 000.00 lb.
STANDARD PREHIUM AND RESERVE PREMIUM:
In the absence of a change in the Advance Premium indicated
- above, it is agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium is said Advance I
Premium and the Reserve Premium is:
1 1
.00
'1 Additional Premium:
$ 121 525.53 This is to certify that this is a true oopy of the original Endorsement having the endorsemenc
.i,>.,iher and being made part of the Nuclear Energy Liaoiiitg olicy (Facility Form) as des-ignat d, hereon.
No Insurance is fforded hereunder.
aso E ectric
- ompany, an out em a
i ornia u
ic we ity ew Mexico, For the su cribing co panies Date of Issue Februar 27 1985 John L. Quattrocchi, Vice President-Liability Underwriting American Nuclear lruuers Effective Date of this Endorsemenl "anu ry T0 form a art.of Polir.
No f
N NF-266 Arizona Publ i~cervice12:01 A.M. Standard Time ompany~
outhern Faii forniS E
i on m, al t River Project Agricu1 tura 1
Improvement and Power District, Pub 1 i c Servi ce Company of N
E)P Endorsement No NE-36 By Countersigned by General Manager
0
, Nuclear Energy LlabllltyInsurance NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATiON CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR PROPORTIONATE LIABILITYENDORSEMENT Calendar Year 1985 I.
It is agreed that with respect to bodily injury or property damage
- caused, during the effective period of this endorsement, by the nuclear energy hazard:
a.
The word'companies" wherever used in the policy means the subscribing companies listed below.
b.
The policy shall be binding on such companies only.
Each such company shall be liable for its proportion of any obligation assumed or expense incurred under the policy because of such bodily injury or property damage as designated below.
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TRAVELFRS INDFIWITY LX)HPANY UeS ~ FrleFLITY 4 AVAIIANTYI Oe U 5 ~ FIRE IMMSIANIX'e LXSS'AHY VMIVELOALUNCEfeVRITFfIS Itter CO IURICH INSVRAHCC COMPANY o
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'ft is agreed that the effective period of th'is endorsement is from the beginning of the effective date of this endorsement stated below to the close of December 31, 1985 or, to.
the time of the termination or cancellation of the policy, if sooner.
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Q I-I Eiiectlve Oata ot tnls Enoorsamant To torm a part ot policy No NF"266 t2:Ol A.M. Standard Time issuc4 to Ari zona Publ ic Service
- Company, Southern Ca i i fornia Edison
- Company, Sal t River Project Agricultural Improvement an ower
- istrtct, u
tc er tc Date ot issue "ar " "
1985 Electric Company, and For,tha su Southern California Public Power Authority By criblntt co paniaa General Manatt ~ 1 aso Eltoor semert t No 26 CountarstOnact by
'1 C,
N 1I
This is to cert~rfy that this is a true copy of the original Declarations and Endorsements Nuked l through 7 and being made~
a part of the Mutual Atomic Eneri~iability Policy (Facility For~
as designated hereon.
No Insurance is afforded hereunder.
UTUAL OMIC ENERSY LIABILITYUNDERWRITERS 9 Norih Michigan Avenue, Chicago I I," Illinois John L. Quattrocchi, Vice Presa.
iability Underwriting American Nuclear Insurers Nuclear Energy Liability Policy No. MF (Facility Form)
DECLARATIONS Arizona Public Service
- ompany, Southern California Edison
- Company,
~
Salt River Project Agricultural Improvement and Power District, Public Service Company of New Mexico, El. Paso Electric Company, and Item 1.
Named Insured~~h ~~orant pob I we f o
Addr (No.
Street Town or City State)
Item 2.
Policy Period:
Beginning at 12:01 A.M. on th day of
,19 and continuing through thc effectiv date of the cancelation or termination of this policy, standard time at thc address of the named insured as stated herein.
Item 3.
Description of the Facility:
Al 1 of the premises including the land and al 1 buildings and structures of Arizona Public Service Company's Palo Verde Nuclear Generating Station (in-eluding, but not limited to Units 1, 2 and
- 3) situated on a site consisting of approximately 3,800 acres and located in Haricopa County in south western Arizona approximately 15 miles west of the city of Buckeye and 36 miles west of the city of Phoenix.
Typ Power Reactor The Operator of the facility i Arizona Publ ic Serv i ce Company Item 4.
The limit of the companies'iability is reference thereto.
subject to all the terms of this policy having Item 5.
Advance Premium 24 Item 6.
These declarations and the schedules forming a part hcrcof give a complet'e description of the facility, insofar as it relates to the nuclear energy hazard, except as note Date of Issu Feb rua r 1 2 1 985 Countersigned by Authortsed Representattve Nuclear Energy LiabilityPolicy (Facility Form) 2/1/57 (Second Revision)
/
I
,In Wztness
- Whereof, each of the subscrxbzng companies has caused thxs policy be executed by it, attested on its behalf by an officer of Mutual Atomic Energ Liability Undervriters and duly countersigned on the declarations page b
an authorized representative.
n page y an Subscribin Com anies Pro ortion of 100%
(1)
American. Mutual Liability Insurance Company Secreta Presi nt (2)
Employers Insurance of Wausau A Mutual Company Secretary (3)
Liberty Mutual Insurance Company President 30 Secretary President (4)
Lumbermens Mutual Casualty Company 30 Secretary (5)
Michigan Mutual Insurance Company President President Secretary (6)
Sentry Insurance A Mutual Company President ATTEST:
Secretary President By:
100
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NUCLEAR ENERGY LIABILITYINSURANCE MUTUAL ATOlVLIC ENERGY LIABILITYUNDERWRITERS ADVANCE PREMIUM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Year ~l 8
l.
ADVANCE PREMIUM It is agreed that the Advance Premium due the companies for the calendar year designated above is
$ 36 000.00 2.
STANDARD PREMIUM AND RESERVE PREMIUM In the absence of a change in the Advance Premium indicated above, it is agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium and Reserve Premium are:
Standard Premium
$ 36 000 F 00
$ ~668 Effective Date of To form a part this Endorsement
">>uery 1
1985 of Policy No.
Arizona Public Serv>ce
- ompany, out em California Edison Company, Salt River Project Date of Issue February 27, 1,985 For the Subscribing Companies MUT L ATOMIC ENERGY LIABILITYlJNDER ITERS Endorsement No.
Countersigned by AUTilORIZED REPRESENTATIVE
NUCLEAR ENERGY LIABILITYINSURANCE MUTUAL ATOMIC ENERGY LIABILITY UNDERWRITERS AltENDHENT OF DEFINITION OF INSURED
~Tennessee Vslle Anehneie
)
It is agreed that regardless of the provisions of the second paragraph of Insuring Agreement II, part (b) of the Definition of Insured includes as an insured the Tennessee Valley Authority with respect to its legal responsibility for damages because of bodily injury or property damage caused by the nuclear energy hazard.
Arizona Public ervice
- ompany, out em a ifornia Edison
- ompany, a t iver rogect Agricultural Improvement and Power District:, Public Service Company of New Mexico, El lshuo to Paso Electric Company, and Southern California Public Power Authority February 12, 198/
Dato ot Isau I'or ilic Sutiscriliint,'ointwinics Mti 't JAI A'I'Obtl(". I'Hf'It(sY I IABIII'I'Y U' ll'ItlVttt'I'[',Itg I
Qz~.4-'. -~
Endoriicrncnt No.
ME-63
(,'ountorsiienctt t>y AoT!Iom%Vo nNrliMt:iVTArlVV.
- I'*
l S
Nuclear Energy Liability Insurance Mutual Atomic Energy Liability Underwriters AMENDATORY ENDORSEMENT (Indemnified Nuclear Facility)
It is agreed that:
I.
In Insuring Agreement III, "DEFINITIONS A.
The first sentence of the definition of "nuclear facility" is amended to read:
"nuclear facility" means "the facility" as defined in any Nuclear Energy Liability Policy (Facility Form) issued by Nuclear Energy Liability Insurance Association or by Mutual Atomic Energy Lia-bility Underwriters.
B.
The definition of "indemnified nuclear facility" is replaced by the following:
"indemnified nuclear facility" means (l)
"the facility" as defined in any Nuclear Energy Liability Policy (Facility Form) issued by Nuclear Energy Liability Insurance Association or by Mutual Atcmic Energy Liability Underwriters, or (2) any other nuclear facility, if financial protection is required pursuant to the Atomic Energy Act of 1954, or any law amendatory thereof, with respect to any activities or operations conducted thereat; C.
Solely with respect to an "insured shipment" to which this policy applies as proof of financial protection required by the Nuclear Regulatory Commission, Subdivision (2) of the definition of "nuclear energy hazard" is amended to read:
(2) the nuclear material is in an insured shipment which is away from any other nuclear facility and is in the course of trans-portation, including the handling and temporary storage inci-dental thereto, within (a) the territorial limits of the United States of America, its territories or possessions, or Puerto Rico; or (b) international waters or airspace, provided that the nuclear material is in the course of transportation between two points located within the territorial limits described in (a) above and there are no deviations in the course of the ME-59 Page 1 of 4
'.PsevL~s s., c, i 4~ o ~
(l/1/82)
)y
(b) transportation for the purpose of going to any other (cont) country, state or nation, except a deviation in the course of said transportation for the purpose of going to or returning from a port or place of refuge as the result of an emergency.
D.
The definition of "insured shipment" is replaced with the following:
"insured shipment" means a shipment of source material, special nuclear material, spent fuel or waste, or tailings or wastes pro-duced by the extraction or concentration of uranium or thorium from any ore processed primarily for its source material content, herein called "material",
(1) to the facility from any location except an indemnified nuclear facility but only if the transpor-tation of the material is not by predetermination to be inter-rupted by removal of the material fran a transporting conveyance for any purpose other than the continuation of its transportation, or (2) from the facility to any other location, but only until the material is removed from a transporting conveyance for any purpose other than the continuation of its transportation.
~
As used herein, "financial protection" has the meaning given it in the Atomic Energy Act of 1954, as amended.
II.
Insuring Agreement IV is replaced by the following:
IV APPLICATION OP POLICY This policy applies only to bodily injury or property damage (1) which is caused during the policy period by the nuclear energy hazard and (2) which is discovered and for which written claim is made against the insured, not later than ten years after the.end of the policy period.
Condition 2 is replaced by the following:
2 INSPECTION; SUSPENSION The canpanies shall at any time be permitted but not obligated to inspect the facility and all operations relat-ing thereto and to examine the insured's books and records as far as they relate to the subject of this insurance and any property insurance afforded the insured through any company who is a member-of Mutual Atomic Energy Reinsurance Pool. If a representative of the canpanies discovers a condition which he believes to be unduly dangerous with respect to the nuclear energy hazard, a representa-tive of the canpanies may request that such condition be corrected without delay.
In the event of non-compliance with such request, a representative of the companies may, by notice to the named in-sured, to'any other person or organization considered by the can-panies to be responsible for the continuation of such dangerous condition, and to the United States Nuclear Regulatory Commission, suspend this insurance with respect to the named insured and such other person or organization effective 12:00 midnight of the next business day of such Commission following the date that such Ccm-mission receives such. notice.
The period of such suspension shall terminate as of the time stated in a written notice frcm the can-panies to the named insured and to each such person or organization that such condition has been corrected.
ME-59 Page 2 of 4 (1/1/82)
1I
Neither the right to make such inspections and examinations nor the making thereof nor any advice or report resulting therefrom shall constitute an undertaking, on behalf of or for the benefit
.of the insured or others, to determine or warrant that such fa-cility or operations are safe or healthful, or are in compliance with any law, rule or regulation.
In consideration of the issu-ance or continuation of this policy, the insured agrees that nei-ther the companies nor any persons or organizations making such inspections or examinations on their behalf shall be liable with respect, to injury to or destruction of property at the facility, or any consequential loss or expense resulting therefrcm, or any loss resulting from interruption of business or manufacture, aris-ing out of the making of or a failure to make any such inspection or examination, or any report thereon, or any such suspension of insurance, but this provision does not limit the contractual ob-ligations of the companies under this policy or any policy afford-ing the insured property insurance through any company who is a member of Mutual Atomic Energy Reinsurance Pool.
IV.
Condition 4 is replaced by the following:
T 4
LIMITATIONOF LIABILITY;COMMON OCCURRENCE Any occurrence or series of occurrences resulting in bodily injury or property damage arising out of the radioactive, toxic, explosive or other hazardous proper-ties of (a) nuclear material discharged or dispersed from the facility over a period of days,
- weeks, months, or longer and also arising out, of the properties of other nuclear material so discharged or dispersed from one or more other nuclear fa" cilities insured under any Nuclear Energy Liability Policy (Facility Form) issued by Mutual Atanic Energy Liability Underwriters, or (b) source material, special nuclear material, spent fuel, waste, or tailings or wastes produced by the extraction or concen-tration of uranium or thorium from any ore processed primarily for its source material content in the course of transportation for which insurance is afforded under this policy and also aris-ing out of such properties of other source material, special nuclear material, spent fuel, waste, or tailings or wastes pro-duced by the extraction or concentration of uranium or thorium frcm any ore processed primarily for its source material content in the course of transportation for which insurance is afforded under one or more other Nuclear Energy Liability Policies (Fa-cility Form) issued by Mutual Atomic Energy Liability Underwriters, shall be deemed to be a
common occurrence resulting in bodily injury or property damage caused by the nuclear energy hazard.
With respect to such bodily injury and property damage (l) the total aggregate liability of the members of the Mutual Atomic Energy Lia-bility Underwriters under all Nuclear Energy Liability Policies (Fa-cility Form), including this policy, applicable to such common occur-rence shall be the sum of the limits of liability of all such policies, ME-59 Page 3 of 4 (1/1/82)
t' t
I t
I
- 0 t
the limit of liability of each such policy being as determined by
. Condition 3 thereof, but in no event shall such total aggregate liability of such members exceed
$36,000,000; (2) the total liability of the companies under this policy'hall not exceed that proportion of the total aggregate liability of the members of Mutual Atomic Energy Liability Underwriters, as stated in clause (1) above, which (a) the limit of liability of this policy, as determined by Condition 3, bears to (b) the sum of the limits of liability of all such policies issued by such members, the limit of liability of each such policy being as determined by Condition 3 thereof.
The provisions of this condition shall not operate to increase the limit of the companies'iability under this policy.
V.
The second paragraph of Condition 12, "OTHER INSURANCE", is amended to read:
If the insured has other valid and collectible insurance (other than such concurrent insurance or any other nuclear energy liability in-surance issued by Nuclear Energy Liability Insurance Association or Mutual Atcmic Energy Liability Underwriters to any person or organi-zation) applicable to loss or expense covered by this policy, the insurance afforded by this policy shall be excess insurance over such otherinsurance; provided, with respect to any person who is not em-ployed at and in connection with the facility, such insurance as is afforded by this policy for bodily injury to an employee of the insured arising out of and in the course of his employment shall be primary insurance under such other insurance.
VI.
Paragraph (c) of Condition 16, "COMPANY REPRESENTATION", is amended to read:
(c) Mutual Atomic Energy Liability Underwriters is the agent of the companies with respect to all matters pertaining to this insurance.
All notices or other communications required by this policy to be given to the companies may be given to such agent, at its office at One East Wacker Drive, Chicago, Illinois 60601, with the same force and effect as if given directly to the companies.
Any requests, demands or agreements made by such agent shall be deemed to have been made directly by the companies.
Effective Date of To Form a Part This Endorsement December 14, 1984 of Policy No.
MF-116 12:01 A.M. Standard Time Arizona Public Service
- Company, Southern California Edison
- Company, Salt River Project Issued to A ricultural Improvement and Power District, Public Service Company of New Mexico, El Paso Electric Company, an out em a
> ornia u
ic owe Date of Issue February 12, 1985 For he Subscribing C
By Endorsement No.
Countersigned by ME-59 Page 4 of 4
(1/1/82)
'I
NUCLEAR ENERGY LIABILITYINSURANCE MUTUALATOMIC ENERGY LIABILITYUNDERWRITERS r
Supplementa ry Endo r s ement Waiver of DeEenses Reactor Construction at the Facilit It is agreed that in construing the application oE paragraph 2 (b) of the Waiver of Defenses Endorsement with respect to an extraordinary nuclear s
occurrence occurring at the facility, a claimant who is employed at the facility in connection with the construction of a nuclear reactor with respect to which no operating license has been issued by the Nuclear Regulatory Commission shall not be considered as employed in connection with the activity where the extraordinary nuclear occurrence takes place if:
(l) the. claimant is employed exclusively in connection with the construction of a nuclear reactor, including all related equipment and installations at the facility, and (2) no operating license has been issued by the Nuclear Regulatory Commission with respect to the nuclear reactor, and
't (3) the claimant is not employed in connection with the possession,
- storage, use or transfer of nuclear material at the facility.
Effective Date oE To Form a Part this Endorsement December 14, 1984 of Policy No.
MF-116 Arizona Public Service
- Company, Southern California Edison Company, Salt River Project Agricultural Improvement and Power District, Public Service Company of New Mexico, El Issued to Paso Electric Company, and Southern Cali fornia Publ ic Power Authori ty Februar 12 1
8 For the Subscri'bing Companies Mutuel Atomic Energy LiabilityUnde nv
~lars By.~-
r Endorsement No.
5 Countcrsipncd by Autl>orized Representative HE-39a e.
4e J
NUaAR ENERGY LIABILITYINSUIItNCE MUTUAL ATONIC ENERGY LIABILITYUNDERWRITERS WAIVER OF DEFENSES ENDORSEMENT Extraordinar Nuclear Occurrence)
The named insured, acting for himself and every other insured under the policy, and the members of the Mutual Atomic Energy Liability Underwriters agree as follows:
1.
With respect to any extraordinary nuclear occurrence to which the policy applies as proof of. financial protection and which l
p (a) arises out of or results from or occurs in the course of the construction, possession, or operation of the facility, or (b) arises out of or results from or occurs in the course of the transportation of nuclear material to or from the facility, the insureds and the companies agree to waive T
0 (1) any issue or defense as to the conduct of the claimant or the fault of of the insureds, including but not limited to:
(i) negligence, (ii) contributory negligence, (iii) assumption or risk, and (iv) unforeseeable intervening causes, whether involved the conduct of a third person, or an act of God, (2) any issue or defense as to'haritable or governmental immunity, and (3) any issue or defense based on any statute of limitations if suit is instituted within three years from the date on which the claimant first knew, or reasonably could have known, of his bodily injury or property damage and the cause thereof, but in no event more than twenty years after the date of the nuclear incident.
The waiver of any such issue or defense shall be effective regardless of whether such issue or defense may otherwise be deemed )urisdictional or relating to an element in the cause of action.
2.
The waivers set forth in paragraph
- 1. above do not apply to (a) bodily injury or property damage which is intentionally sustained by the claimant or which results from a nuclear incident intentionally and wrongfully caused by the claimant; (b) bodily injury sustained by any claimant who is employed at the site of and in connection with the activity where the extraordinary nuclear occurrence takes place if benefits therefor are either payable or required to be provided under any workers'ompensation or occupational disease law; (c) any claim for punitive or exemplary
- damages, provided, with respect to any claim for wrongful death under any state law which provides for damages only punitive in nature, this exclusion does not apply to the extent that the claimant has sustained actual
- damages, measured by the pecuniary injuries resulting from such death but not to exceed the maximum amount otherwise recoverable under such law.
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3.
The waivers set forth in paragraph l. above shall be effective only with respect to bodily injury or property damage to which the policy applies under its terms other than this endorsement;
- provided, however that with respect to bodily injury or property damage resulting from an extraordinary nuclear occurrence, Insuring Agreement IV, "Application of Policy," shall not operate to bar coverage for bodily injury or. property damage (a) which is caused during the policy period by the nuclear energy hazard and (b) which is discovered and for which written claim is made against the insured not lacer than twenty years after the date of the extraordinary nuclear occurrence.
Such waivers shall not apply to, or prejudice the prosecution or defense of any claim or portion of claim which is not within the protection afforded under (a) the provisions of the policy applicable to the financial protection required of the named insured; (b) the agreement of indemnification between the named insured and the Nuclear Regulatory Commission made pursuant to Section 170 of the Atomic Energy Act of 1954, as amended; and (c) the limit of liability provisions of Subsection 170 e. of the Atomic Energy Act of 1954 as amended.
Such waivers shall not preclude a defense based upon the failure of the claimant to take reasonable steps to mitigate damages.
- 4. Subject to all of the limitations stated in this endorsement and in the Atomic Energy Act of 1954, as
- amended, the waivers set forth in paragraph l. above shall be judicially enforceable in accordance with their terms against any"insured in an action to recover damages because of bodily injury or property damage to which the policy applies as proof of financial protection.
- 5. As used herein:
"extraordinary nuclear occurrence" means an event which the Nuclear Regulatory Commission has dptermined to be an extraordinary nuclear occurrence as defined in the Atomic Energy. Act of 1954, as amended.
"financial protection" and "nuclear incident" have meanings given them in the Atomic 'Energy Act of 1954, as amended.
"claimant" means the person or organization actually sustaining the bodily injury or property damage and also include his assignees, legal represen-tatives and other persons or organizations entitled to bring an action for damages on account of such injury or damage.
Effective Date of To form a part MF" 116 this Endorsement f Policy Ro, Arizona Pu ic ervice
- ompany, outhern Caii ornia ison
- ompany, a
iver Agricultural Improvement and Power District, Public Service Company of New Hexico, Issued to El Paso Electric Company, and Southern California Public Power Authority Date of Issu For the Subscribing Companies M TUAL ATOMIC ENERGY LIABILITY DERVTRITERS
/.
Endorsement No.
Countersigned by
~WUTHOa!XED REPa8SENTATiva H
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N LEAR ENERGY LIABILITYINS ANCE MUTUAL ATOMIC ENERGY LIABILITYUNDERWR)TERS ADVANCE PREMI UM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Year 1984 l.
ADVANCE PREMIUM It is agreed that the Advance Premium due the companies for the calendar year designated above is 246 58 2.
STANDARD PREMIUM AND RESERVE PREMIUM r
In the absence of a change in the Advance Premium indicated above, it io agreed
- that, sub)ect to the provisions of the Industry Credit Rating Plan, the Standard Premium and Reserve Premium are:
Standard Premium
$ 246.58 Reserve Premium 165 '1 Effective Date of To form a part this Endorsement of Policy No.
MF-116 Arizona Public Service
- Company, Southern California Edison Company, Salt River Issued ro Pro ect A ricultural lm rovement and Power District, Public Service Company of New
- Mexico, El Paso Electric Company, and Southern California Public Power Authority Date of Issue Februar 12 1985 For the Subscribing Companies L ATOMIC ENERGY LIABILITYUNDER ITERS Endorsement No.
Countersign<<d by AUTIIORIZED REPRESENTATIVE HE-41
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'UCLEAR ENEHG Y LIABILITY INSURANCE MUTUALATOMIC ENERGY LIABILITYUNDERWRITERS INDUSTRY CREDIT RATING PLAN PREMIUM ENDORSEMENT It is agreed that Condition 1 of the policy is replaced by the following:
/
CONDITION 1.
PREMIUM (1)
Definitions: With reference to the premium for this policy:
"advance premium", for any calendar year, is the estimated standard premium for that calendar yeax",
"standard premium", for any calendar year, is the premium for that calendar year computed in accordance with the companies'ules,
- rates, rating plans, (other than the Industry Credit Rating Plan), premiums and minimum premiums applicable to this insuxance; "reserve premium" means that portion of the standard premium paid to the companies axxd.specifically allocated under the Industry Credit Rating Plan for incurred losses.
The amount of the "reserve premium" for this policy for any calendar year during which this policy is in force is the amount designated as such in the Standard Premium Endorsement for that calendar yea r; "industry reserve premium," for any calendar year, is the sum'of the reserve premiums for that calendar year for all Nuclear Energy Liability Policies issued by American Nuclear Insuxers and Mutual Atomic Energy LiabilityUnderwriters and subject to the Industry Credit Rating Plan; "policy refund ratio", for any calendar year, is the ratio of the named insured's reserve premium for that calendar year to the industry reserve premium for that calendar year; "incurred losses" means the sum of:
(1) Alllosses and expenses paid by American Nuclear Insurers and Mutual Atomic Energy LiabilityUnderwriters, and (2)
A11 reserves for unpaid losses and expenses as estimated by American Nuclear Insurers and Mutual Atomic Energy LiabilityUnderwriters because of obligations assumed and the expenses incurred in connection with such obligations by members of American Nuclear Insurers and Mutual Atomic Energy LiabilityUnderwriters under all Nuclear Energy
lt t
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LiabilityPolicies issued by American Nuclear Insurers and Mutual Atomic Energy LiabilityUnderwriters and subject to the Industry Credit Rating Plan; "reserve for refunds," at the end of any calendar year, is the amount by which (1) the sum of all industry reserve premiums for the period from January 1, 1957 through the end of such calendar year exceeds (2) the total for the same period of (a) all incurred losses, valued as of the next following July 1, and (b) all reserve premium refunds made under the Industry Credit Rating Plan by members of American Nuclear Insurers
'nd Mutual Atomic Energy LiabilityUnderwriters;
'(~)
"industry reserve premium refund," for any calendar year, is determined by multiplying the reserve for refunds at the end of the ninth calendar year thereafter by the ratio of the industry reserve premium for the calendar year for which the premium refund is being determined to the sum of such amount and the total industry reserve premiums for the next nine calendar years thereafter, provided that the industry reserve premium refund for any calendar year shall in no event be greater than the industry reserve premium for such calendar year.
('ayment of Advance and Standard Premiums.
The named insured shall pay the companies the advance premium stated in the declarations, for the period from the effective date of this policy through December 31 following. Thereafter, at the beginning of each calendar year while this policy is in force, the named insured shall pay the advance premiu~or such year to the companies.
The advance premium for each calendar year shall be stated in the Advance Premium Endorsement for such calendar year issued to the named insured as soon as practicable prior to or after the beginning of such year.
As soon as practicable after each December 31 and after the termination of this policy, the standard premium for.the preceding calendar year shall be finally determined and stated in the Standard Premium Endorse-ment for that calendar year.
If the standard premium so determined exceeds the advance premium previously paid for such calendar year, the named insured shall pay the excess to the companies; if less, the companies shallreturn to the named insured the excess portion paid by such insured.
The named insured shall maintain records of the information necessary for premium computation and shall send copies of such records to the companiee as directed, at the end of each calendar year, at the end of the policy period and at such other times during the policy period as the company may direct.
(3)
Use of Reserve Premiums.
All reserve premiums paid or payable for this policy may be used by the members of Mutual Atomic Energy
'A LiabilityUnderwriters to discharge their obligations with respect to incurred losses whether such losses are incurred under this policy or under any. other policy issued by American Nuclear Insurers or Mutual Atomic Energy LiabilityUnderwriters.
(4)
Reserve Premium Refunds.
A portion of the reserve premium for this policy for the first calendar year of any group of ten consecutive calendar years shall be returnable to the named insured provided there is a reserve for refunds at the end of the tenth calendar year.
(5)
Computation of Reserve Premium Refunds.
The zeserve premium refund due the named insured for any. calendar year shall be determined by multiplying any industry reserve premium refund for such calendar year by the policy refund ratio for such calendar year.
The reserve premium refund for any calendar year shall be finally determined as soon as practicable after July l of the tenth calendar year thereafter.
Final Premium.
The final premium for this policy shall be the sum-of standard premiums for each calendar year, or portion thereof, during which this policy remains in force less the sum of all refunds of reserve premiums due the named insured under the provisions of this Condition l.
Reserve Premium Refund Agreement.
Each member of Mutual Atomic Energy LiabilityUnderwriters subscribing this policy for any calendar year, or portion thereof, thereby agrees for itself, severally and not jointly, and in the respective proportion of its liabilityassumed under this policy for that calendar year, to return to the named insured that portion of any reserve premium refund due the named insured for that calendar year, determined in accordance with the provisions of this Condition l.
Effective Date of To Form a Part this Endorsement December 14, 1984 of Policy No.
Arizona Public Service
- Company, Southern California Edison Company, Salt River Project Issued to Agricultural Improvement and Power District, Public Service Company of New Hexico, El Paso Electric Company,.an outhern a
i ornia u
ic ower ut ority Date of Issue For the Subscribing Companies MUT AL ATOMIC ENERGY LIABILITY NDERWRITERS BY Endorsement No.
Countersigned by Authorized Rep re sentative
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NUTBAR ENERGY LIABILITYINSNCE
'MUTUAL ATOMIC ENERGY LIABILITYUNDERWRITERS Amendment of Name of <<fember Com anv Endorsement It is agreed that the name "SENTRY INSURANCE A iIUTUAL CONPANY" ia substituted for "IIAIRDItTARE llUTUAL CASUALTY CO.'ft'AIPC" wherever it appears in the pniicy.
Ehcctivc Date of To forI>> R part this I'.>>Jorocmc>>t DRCQJQb~
of Policy. Bo.
Arizona pubiic service
- company, ouutuern laiiror'n<a E ison
- ompany, aTtttiver 'project Agricultural Improvement and Power Distri'ct, Public Service Company of New Hexico, IBL>>IRJ to El Paso Electric Company, and Southern California Public Power Authority Q R(c of I,.c Fe brua ry I 2, I 9 85 For tlic Htibccribinl, Co>>ipaniics M
'U 5K. ATOMIC LNEliGY LIAIIII 'Y UNDI':RIVI'I'I'ERS n;
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AVniOXIZeIIki:ritCSEIE YAYIYC
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MUTUAL ATOMIC ENERGY LIABILITYUNDERWRITERS AMERICAN IWIUTUALLIABILITYINSURANCE COMPANY> Wakefield, Massachusetts EMPLOYERS MUTUAL LIABILITYINSURANCE COMPANY OF WISCONSIN, Wausau, Wisconsin HARDWARE MUTUAL CASUALTY COMPANY> Stevens Point, Wisconsin LIBERTY MUTUAL INSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY. COMPANY> Chicago, Illinois IVIICHIGANMUTUAL LIABILITYCOMPANY, Detroit, Michigan HUCUEAA EHERG'f ILIIABIU7'f PGL)CV (FACILITY FORM)
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NUCLEAR ENERGY LIABILITYPOLICY (FACILITY FORM)
MUTUAL ATOMIC ENERGY LIABII.ITYUNDERWRITERS AMERICAN MUTUAL LIABILITYINSURANCE COMPANY< Wakcflcldy Massachusetts EAIPLOYERS MUTUALLIABILITY It<!SURANCE 'COMPANY OF WISCONSIN>Wausau, Wisconsin HARDWARE MUTUAL CASUALTY COMPANY) Stevens Point, Wisconsin LIBERTY MUTUAL LNSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY COMPANYs Chicago, Illinois MICHIGAN MUTUALLIABILITYCOMPANYr Detroit, Michigan The undersigned members of obfutual Atomic Energy Liability Underwritersy hereinafter called the "companies," each for itself, severally and not jointly, and in the respective proponions hereinafter set forth, agree with the insured, named in the declarations made a part hereof, in consideration of thc premium and in reliance upon the statements in the declarations and subject to thc limit of liability, exclusions, conditions and other terms of this policy:
INSURING AGREEMENTS r
Coverage A BODILY INJURY AND PROPERTY DAMAGE LIABILITY To pay on behalf of the insured:
(1) all sums wh!ch the insured shall become legally obligated to pay as damages because of bodily injury or property damag~ caused by the nuclear energy hazard, and the companies shall defend any suit against the insured alleging such bodily injury or property damage and seeking damages which are payable under the terms of this policy; but the companies may make such in-vestigation, negotiation and settlement of any claim or suit as they deem expedient<
(2) costs taxed against the insured in any such suit and interest on any judgment therein; (3) premiums on appeal bonds and on bonds to release attachments in any such suit, but without obligation to apply for or furnish such bonds; (4) reasonable
- expenses, other than loss of earnings, incurred by the insured at the companies'equest.
Coverage BDAMAGE TO PROPERTY OF AN INSURED AWAY FROM THE FACILITY With respect to property damage caused by the nuclear energy hazard to property of an insured which is away from the facility, to pay to such insured those sums which such insured would have been legally obligated to pay is damages'there-'or, had such property belonged to another.
Coverage CSUBRO'GATIONOFFSITE EMPLOYEES With respect to bodily injury sustained by any employee of an insured and caused by the nuclear energy hazard, to pay to the workmen' compensation carrier of such insured all sums which such carrier wnu!d have been entitled to recover and retain as damages from another persnn or organization, had such person or organization alone lieen legally responsible for such bodily injury, by reason of the rights acquired by subrngation by the paymcut of the benefit required of such carrier under the applicable workmen's cornpensa-tioii nr occupational disease law.
An employer who is a duly quali-fied self-insurer under such law shall bc deemed to be a workmen' cnmpensatbni carrier within the meaning of this coverage.
This Coverage C does not apply to bndily injury sustained by any person who is employed at and in connectinn with thc facility.
This Coverage C shall not constitute svorkmen's comp<nsation insurance as required under the laws of any state.
l DEFINITION OF INSURED The unqualifie<l word ninsurcd" in.
eludes (a) the named insured and (b) any nther persnn or organi-zation with respect to his legal respnnsibility for damages because of bodily injury or prnpeny damage caused by the nuclear energy hazard.
Subdivision (b) above does not include as an insured the United States of America nr any of its agencies.
Subject to Condition 3 aml the other provisions nf this policy, the insurance applies separately to each insured against whom claim is made or suit is brought.
Nuclear Energy Ldbiltiy Poti<<y (Facility Form) 2/i/5y (Second Revision)
NPF.100 (2R)
PAGE 3
DEFINITIONS Wherever used in this policy:
"is diiy ini ry" ruc ns isorgly injury, sickness or dis nsr, including 1I.
death resulting therefrom, sustained by any person; "property darnag" means physical injury to or destruction or radioactive contamination of property, and loss of use of property so injured, destroyed or contaminated, and loss of use of property while evacuated or withdrawn from use because possibly so contaminated or because of imminent danger of such contamination; "nuclear materia!" means source material, special nuclear material or byproduct material; "source moferial," "special nuclear ma)oriel," and "byproduct mater!al" have the meanings given them in the Atomic Energy Act of 1954, or in any law amendatory thereof; "spent fuel" means any fuel <<lemcnt or fuel component, solid or liquid, wh!ch has been used or exposed to radiation in any nuclear reactor; "wasfe" means any svaste material (1) contaimng byproduct ma-terial and (2) resulting from the operation by any person or organ-ization of any nuclear facility included svithin the definition of nuclear facility under paragraph (1) or (2) thereof; "fho fac!lify" means the facility described in the declarations and includes the location designated in Item 3 of the declarations and all property and operations at such location; "nuclear facility" means "the facility" as define in any Nuclear Energy Liability Policy (Facility Form) issued by the companies or by Nuclear Euergy Liability Insurance Association.
The term "nu-clear facility"also means (1) any nuclear reactor, (2) any cquiprnent or device designed nr used for (a) separating thc isotopes of uranium or plutonium, (b) processing or utiliz-ing spent fuel, or (c) handling, processing or packaging waste, (3) any equipment or device used for the processing, fabricating or alloying of special nuclear material if at any time the total amount of such material iii thc custody of the insured at the premises where such equipmcnt or device is located cnnsists of or contains more than 25 grams of plutonium or uranium 233 or any combination thereof, or more than 250 grams of uranium
- 235, (4) any structure, basin, excavation, premises or place prepared or used for thc storage or disposal of waste, and iiicludes the site on svhich any of the foregoing is located, all operations conducted on such site and all premises used for such operations; "indemnified nucloar faclllfyoo means (1) "th<< facility" as defined in any Nuclear Energy Liability Policy (Facility Form) is<ued'by the companies or by Nuclear Energy Liability liiaurance Association, or (2) any other nuclear facility, if financial protection is required pursuant to the Atomic Energy dc
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Act of 1954) or any Iaiv amendatory thereof, ivith respect to any
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activities or operations xonductrd thereat; "nuclear reactor" means any apparatus designed or used to sustain nuclear fission in a self-supporting chain reaction or to contain a
critical mass of fissionable material; "nuclear oo<<rgy hazard" means the radioactive, toxic, explosive or other hazardous propertirs of nuclrar material, but only if (1) the nuclear material is at the facility or has bren discharged or dispersed thrrefro>n ivithout intent to relinquish possession or custody thereof to any person or organization, or (2) the nuclrar material is in an insurrd shipmenc ivhich i>> (a) in the course of transportation, including handliop and temporary storage incidental thereto, ivithin the territorial limits of the United States of Amrrica, its territories or possessions, Puerto Rico or thc Canal Zone and (b) aivay from any other nuclear facility; "insured shipnion" means a ship<nent of source material, sprcial nuclear
- material, spent fuel or waste, herein called "material,"
(1) to tl)e facility from a nuclear facility owned by the United States of America, but only if the transportation of the material is not by predetermination to bc interrupted by the removal of the material from a transporting conveyance for any purpose other than the continuation of its transportation, or (2) from the facility to any other location except an indrmnified nuclear facility, but only until the material is removed from a transporting conveyance for any purpose other than the continuation of its transportation.
APPLICATION OF POLICY This policy applies only to bodily TZ T injury or property damage (1) ivhich is caused during the policy
- 3. Y period by the nuclear energy hazard and (2) ivhich is discovered and for which written claim is made against the insured, not later than two yrars after the end of the policy period.
EXC LU S ION S This policy does nat apply:
(a) to any obligation for ivhich the insured or any carrier as his insurer may be hehl liable under any ivorkmen's co<npensation, unemployment compensation or disability benefits lair, or under any s)rnilar law; (b) except ivith respect to liability of another assumed by the in-sured under contract, to bodily injury to any employee of the insured arising out of and in thc course of his employment by the insured; but this <<xclusion does not apply to bodily injury to any person ivho is not employed at and in connection ivith the facility if the insured has complied with the requiremrnts of the applicable ivockmen's comp<<nsation or occupational dis-ease law respecting the securing of compensation benefits there-under to his etnployees; (c) to liability assumed by the insured under contract, other than an assumption in a contract ivith another of the liabilityof any person or organization ivhich ivould be imposed by law on such person or organization in the absenceof an express assumption of liability; (d) to bodily injury or property damage due to the manufacturing, handling or use at the location designated in Item 3 of the declarations, in time of peace or ivar, of any nuclear iveapon or other instrument of war utilizing special nuclear material or byproduct material; (r) to bodily injury or prop<<tty damage due to ivar, ivhether or not declared, civil ivar, insurrection, r<<bellion or revolution, or to any act or condition incident to any of the foregoing; (f) to property damage to any property at the location designated in Item 3 of the declarations, other than aircraft, ivatercrafc or vehicl<ng in such property damage.
CONDITION S PREMIUM Thc named insured shall pay thc companies the advance premium stat~d in the declarations, for the period from the efFective date of this policy through December 31 following. Thereafter, at the brginning of each calendar year ivhile this policy is in force, the named insured shall pay the advance premium for such year to the companies.
Thc advance premium for each calendyr year shall be stated in a written notice givrn by the companies to the named insured as soon as practicable prior to or after the beginning of such year.
Such advance premiums are estimated premiums only.
As soon as practicable after each December 31 and after the termination of this policy, the earned premium for the precc<ling premium prrind shall bc computed in accordance ivith the companies'ules,
- rates, rating plans, premiums and minimum premiums applicable tn this insurancr.
If the earned premium thus compnted for any premium, prriod exceeds the advance pr<<mium prcviou>>ly paid for such peri<>d, the named insur<<l shall pay the excess to the companies; if les>>, the companies shall return to the named insured thc unearned portion paid by such insured.
Thr named
<nsured shall ma>intain rrcor<ls of the information necessary for premium computation and shall send copies of such rrcord>> tn thr ci>mpanics a>> <lire<<rd, at the rnd of each calemlar year, at the rod nf the pnlicy period and at such other times during the policy period as thc companies may direct.
INSPECTIONl SUSPENSION The cnmpamcs shall be per>nitted to inspect thc facility and to examine the iosoreil's l>ooLs and rrcnr<ls at any time, as far as they relate to thc subject matter of this insurance.
If a rrpresentative of the cnmpanies discovers a cnmlitinn which he believes to be unduly ilangrrnoi with respect tn the nuclear energy hazard, a rrprrsentative of the companies
>nay request that such c<)nditii>n bc corrrctril ii'itl>nut delay.
Io the event nf non-compliance ivith such
- request, a
representative of the companies may, by on<ice to the named insured, tn any other person nr nr-ani-zatinn cnnsi<lerrd bv the companies tn be rrsponiible for the ci>n-tinuance of such dangerous condition, an<i to the United States Atomic Energy Commission, suspend the insurance with respect to the named insured and such other person or organization efirccive 12:00 midnight of the next husincss day of such Commission fnlloiv-ing the date that such Commission receives such notice.
The period of such suspension shall trrminate as of the time stated in a writtrn notice from the companies to the namrd insured and to each such prrson or organization that such condition has b<<en corrected.
LIMIT OF LIABILITY;TERMINATION OF POLICY UPON EX-HAUSTION OF LIMIT Regardless of the number of persons and organizations ivhn arc insureds undrr this policy, aml regardl<<ss of thc numbrr of claims made aml suits brought against any or all insure<b because of onc or more occurrences resulting in bodily injury nr property <lamagc caused during the policy period by the nuclear energy hazard, thc limit of the companies'iabihty stated in the <lrclarations is the total liability of the companies for their obligations under this policy anil the expen>>rs incurred by the com-panies in connection ivith such nbligations, including (a) payments in settlcmrnt of claims and in satisfaction of judg-ments against the insureds for damages brcause nf bo<hly injury or prnprrty damage, paymrnts made under parts (2), (3) and (4) of Coverage A and payments made in srttlrmcnt of claims under Coveragrs 11 and C; (b) payments for expenses incurred in thc investigation, negntiatii>i>,
settle>ornt anil defense nf any claim or suit, inclu<ling, hot nnt limit<<l tn, the cost of siich services hy s'<brienpa>iies, frrs and cxpenscs of imleprmlcnt adju>>ters, attor-neys'ees anursemcnts, cxp<<)ses for cxpcrt testimony, inspection aml appraisal of property, exmninatinn, X-ray or autopsy or m<<lical rxprnirs nf any Lin<l; (c) paym<<its for rxp<<wr>> inri>rr<il by thc companies in investi 'at-ing ao orcorreocc resulting in bi)dily injury or pri>perty da<nage or io miniiniziog ils elfrcts.
Each payment )oaile l>y the companies in discharge of their oblil:a-tinns umler this pniicy or fnr expenses incurrrd in connection with
>>orh i>hligatinns sliall rrili)re l>y the a<nnunt nf such payment the limit of the companies'iability undrr this policy.
PAGE 4
I 41
)A,
If. during the policy period or subsequent
- thereto, the total of such payments made by the companies shall exhaust the limit of the companies'iability under this policy, all liability and obliga-tions ot the companies under this policy >shall thereupon terminate and shall be conclusively presumed to have been discharged.
This policy, if not theretofore
- canceled, shall thereupon automatically terminate.
Regardless of the number of years this policy shall continue in force and the number of premiuins svhich shall be payable or paid, the hmit of the companies'iability stated in the declarations shall not be cumulative from year to year.
LIMITATIONOF LIABILITY;COMMON OCCURRENCE Any oc-currence or series of occurrences resulting in bodily injury or prop-erty damage arising out of the radioactiv~, toxic, explosis'e or other hazardous properties of (a) nuclear material discharged or dispersed from the facility over a period of days,
- sveeks, months or longer and also arising out of such properties of other nuclear material so discharged or dispersed from one or more other nuclear facilities insured by the companies under a Nuclear Energy LiabilityPolicy (Facility Form), or (b) source material, special nuclear material, spent fuel or waste in the course of transportation for which insurance is afforded under this policy and also arising out of such properties of other source
- material, special nuclear
- material, spent fuel or svaste in the course of transportation for which insurance is aiforded under one or
>nore other Nuclear Energy Liability Policies (Facility Form) issued by the companies, shall be deemed to be a common occurrence resulting in bodily in-jury or property damage caused. by the nuclear energy hazard.
9'ith respect to such bodily,injury and property damage (I) the total aggregate liability oE the companies under all Nuclear Energy Liability Policies (Facility Form), including this policy, applicable to such common occurrence shall be the sum of the limits of liability of all such policies, the li<nit of liability of each such policy being as determined by Condition 3 thereof, but in no event shall such total aggregate liability of the companies exceed
$13,500,000; (2) the total liabilityof the companies under this policy shall not exceed.
that proportion of the total aggregate liability of the companies, as stated in clause (1) above, which (a) the limit of liability of this policy, as determined by Condition 3, bears to (b) the sum of the limits of liability of all such policies issued by the companies, the limit oE liability of each'such policy being as determined by Con-dition 3, thereof.
The provisions of this condition shall not operate to increase the limit of the companies'iability under this policy.
NOTICE OF OCCURRENCE, CLAIM OR SUIT In the event of bo<lil>'njury or property damage to which this policy'pplies or of an occurrence which may give rise to claims therefor, svritten'notice containing particulars sulficient to identify the insured and also reasonably obtainable information svith respect to the time, place and circumstances ther~of, and the names and addresses of the injured and of available witnesses, shall be given by or'or the insured to sfutual Atomic Encrg>
Liability Undersvriters or the companies as soo>>
as practicable.
If claim is made or suit is brouht against the insured, he shall immediately forward to >>futual Atomic Energy Liability Underwriters or the companies every de-ma>><l,
- notice, summons or other process received by him or his represental>ve, ASSISTANCE AND COOPERATION OF THE INSURED The in-sured shall cooperate svilh the companies and, upon the companies'equest allend hearings an<I trials an>g evidence, obtaining thc attendance of witnesses and in the conduct of any legal prncee<linps in connection with the subject rnatter of this insurance.
Thc insured shall not, except at his own co>t, make any payment, assume any obligation or incur any expense, ACTION AGAINST COMPANIESCoveraqes A and C
No action shall lie agai>>>t the compa>>irs or anv of them
- unless, as a condition precedent
- thereto, lhe insured shall have f>>lly co<nplie<1 with all the ler<ns of this policy, nor until lhe amon>>t of the i>>-
sure<i's obligation to pay shall have been finally deter>nined either by judgment against the Insured a(ler actual trial or by written at;reeme>>t of the in>ur<<l> the clairna>>t and lhe companirs.
Any person or organization or the legal representative thrrrof who has secured such judg>nent or written aree<ne>>t shall there-after be entitled to recover u>>der thi>> policy to the extent of the insurance atforded by this policy.
No person or organization shall have any right under this policy to join the companies or any of them as parties to any action against the insured to determine the insured's liability, nor shall the companies or any of them be im-pleaded by the insured or his legal representative.
Bankruptcy or msolvency of the insured or oE the insured's estate shall not relieve the companies of any of their obligations hereunder.
ACTION AGAINST COMPANIES Coverage B
No suit or ac-tion on this policy for the recovery of any claim for property dam-age to which Coverage B applies shall be sustainable in any court of law or equity unless all the requirements of this policy shall have been colnplied with and unless commenced within two years after the occurrence resulting in such property damage.
INSURED'S DUTIES WHEN LOSS OCCURS Covorago B
In the event of property damage to which Coverage B applies, the insured shall furnish a complete inventory of the property damage claimed, showing in detail the amount thereof.
Within ninety-one da>w after the occurrence resulting in such property da<nage, unless such time is extended in writing by the companies, the insured shall render to the companies a proof of loss, signed and ssvorn to by the insured, stating the knowledge and belief of the insured as to the follo<ving: identification of such occurrence; the interest of the insured in the property destroyed or damaged, and the amount of each item of property damage claimed; all encumbrances on such property; and all other contr~acts of insurance, whether valid or not, covering any of such property.
The insured shall include in the proof of loss a copy of all descriptions and schedules in all policies.
Upon the companies'equest, the insured shall furnish verified plans and specifications of any such property.
The insured, as often as may be reasonably requ>red, shall exhibit to any person designated by the companies any of such prop~rty, and submit to examilmtions under oath by any person named by the companies and subscribe the same; and, as often as may be reasonably required, shall produce for examination all books of account, records, bilb, invoices and other vouchers, or certified copies thereof if originals be lost, at such reasonable time and place as ma>
be designated by the com-panies or their representatives, and shall permit extracts and copies thereof to be made.
APPRAISALCoverage B In case the insured and the companies shall fail to agree as to the amount of property damage, then, on the written demand oE either, each shall select a competent and disinterested appraiser and notify the other of the appraiser selected within twenty days of such demand.
The appraisers shall first select a competent and disinterested umpire and, failing for fifteen days to agree upon such umpire, then, on request of the insured or the companies, such umpire shall be selected by a judge of a court of record in the state in svhich the property is located.
The ap-praisers shall then appraise each item of property damage
- and, failing to agree, shall submit their differences only to the umpire.
An award in writing, so itemized, of any two when filed with thc companies shall determine the a<nount of property damage.
Each appraiser shall be paid by the party selecting him and the expenses of the appiaisal and umpire shall be paid by the parties equally.
The companies sl>all not be held to have waived any of their rights by any act relating to appraisal.
SUBROGATION In the event of any payment under this policy, the companies shall l>e subrogat<<l to all the insured's ri hts of re-covery therefor against any person or organization, and the insured shall execute and deliver instruments and papers aml do >vhatever else is necessary to secure such rights.
Prior to kno<vledge of bodily injury or properly damagr.
caus<<l by the nuclear energy haza<<l thc insured may waive in svriting a>>y right of recovery against any person or organizatio>>,
but after such kno<vledge the insure>ol waive or other>vi>>c prejudice any such right of recovery.
Thc co<npa>>i<~ hereby
>valve a>>y rights of suhro ation acquired agai>>st the Unite<I States of America or any of its agencies by reason of any paym<<>t u>>>ler this policy.
The companies do nnt relinqui>>h, hy thc foregoing provisioi>s. any right tn rcstit>>lion fro<n the ins>>r<<l out of any recoveries m:>>le by the
>>>su<ed on
'>ecol>>l'l of a h>>>>> covered by thi>> policy of any amnu>>l>> lo svhich the companies would he e<nilled had such pro-visio>>>>, or any of them, not l>re>> inclu<l<<l in this policy.
OTHER INSURANCE If the insurance afforded 1>y this policy for loss or expense is co>>current with in>>>ran>re alforded fnr>>urh loss or expense hy a Nuclear I'.>>ergy I.iability Policy (Facility Fn<m) issu<<l to ll>e named i>>a>>red by N>>clear.Energy Lial>ilit>'nsurance Association, hereinafter called "concurrent insurance," the companies iG F
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shall nnt be liable under this policy for a greater proportion of such loss or expense than the liinit of liability stated in thc declarations of this policy bears to the sum of such limit and the limit of lia-bility stated in the declarations of such concurrent policy.
If the insured has other valid and collectible insurance (other than such concurrent insurance or any other nuclear energy liability insurance issued by the companies or Nuclear Encrg> Liability In-surance Association to any person or organization) applicable to loss or expense covered by this policy, the insurance afforded by this policy shall be excess insurance over such other insurance;
- provided, ivith respect to any person who is not employed at and in con-nection ivith the facility, such insurance as is afforded by this policy for bodil>'njury to an employee of the insured arising out of and in the course ot his employment shall be primary insurance under such other insurance.
CHANGES Notice to any agent or knoivledge possessed by any agent or by any other person shall not effect a ivaiver or a change in any part of this policy or estop the companies from asserting any right under the terms of this policy; nor shall the terms of this policy be waived or changed, except by endorsement issued to form a part of this policy executed b> Mutual Atomic Energy Liability Underwriters on behalf of the companies.
Premium adjustment, if any, may be made either at the time can-celation is effected or as soon as practicable after cancelation becomes etIcctive, but payment or tender of unearned premium is not a con-dition of cancelation.
COMPANY REPRESENTATION (a) Any notice, sivorn statement or proof of loss which may be re-quired by the provisions of this policy may be given to any one of thc companies, and such notice, statement or proof of loss so given shall be valid and binding as to all companies.
(b) In any action or suit against the comparde, service of process may be made on any one of them, and such service shall be deemed valid and binding service on all companies.
(c) Mutual Atomic Energy Liability Underwriters is the agent of the compames with respect to all matters pertaining to this in-surance.
All notices or other communications required by this policy to be given to the companies may be given to such agent, at its ofiice at 919 North Michigan Avenue, Chicago 11, Illinois with the same force and effect as if given directly to the com-panies.
Any requests, demands or agreements made by such agent shall be deemed to have been made directly by the com-panies.
ASSIGNMENT Assignment of interest by the named insured shall not bind the companies until their consent is endorsed hereon; if, Iiowcver, the named insured shall die or be declared bankrupt or insolvent, this policy shall cover such insured's legal representative, receiver or trustee as an insured under this policy, but only with respect to his liability as such, and then only provided written notice of his appointment as legal representative, receiver or trustee is given to the companies ivithin ten days after such appointment.
CANCELATION This policy may be canceled by the named inshred by mailing to the companies and the United States Atomic Energy Commission written notice stating when, not less than thirty days thereafter, such cancelation shall be effective.
This policy may.be canceled by the companies by mailing to the named insured at the address shown in this policy and to the United States Atomic Energy Commission ivritten notice stating when, not less than ninety days thereafter, such cancelation shall be effective; provided in the event of non-payment of preinium or if the operator of thc facility, as designated in the declarations, is replaced by another person or organization, this policy may be canceled by the companies by mail-ing to the named insured at the address shoivn in this policy and to the United States Atomic Energy Commission written notice stat-ing ivhen, not less than thirty days thereafter, such cancelation shall be effcctive.
The mailing of notice as aforesaid shall bc sufficient proof of notice.
The effcctive date and hour of cancelation stated in the nntice shall become the end of the policy period.
Delivery of such ivritten notice either by the named insured or by the companies shall be equivalent to mailing.
Upon termination or cancelation of this policy, other than as of the end of December 31 in any year, thc earned preinium for the period this policy has been in force since the preceding December 31 shall be cnmputed in accordance with the folloiving provisions:
(a) if this policy is terminated, pursuant to Condition 3, b) reason of the exhaustion of the limit of the companies'iability, all premimn theretofore paid or payable shall be fully earned; (b) if thc named insured
- cancels, the earned premium for such period shall be computed in accordance with thc customary annual short rate table and procedure, provide<I if the named insured cancels after knowledge of bodily injury or property damage caused by the nuclear energy
- hazard, all premiu'ms theretofore paid or payable shall be fully earned; (c) if the coinpanies
- cancel, the earned pretnium for such period shall be computed pro rata.
AUTHORIZATION OF NAMED INSURED Except, with respect to compliance ivith the obligations imposed on the insured by Condi-JJ. g tions 5, 6, 7, 8, 9, 10 and 11 of this policy, the named insured is authorized to act for every other insured in all matters pertaining to this insurance.
CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR PRO-PORTIONATE LIABILITY By acceptance of this policy the named JJ.Q)
- insured agrees that the members of ibfutual Atomic Energy Liability Underwriters liable under this policy, and the proportionate liability of each such member, may change from year to year.
Any such change shall be stated in an endorsement entitled "Changes in Sub-scribing Companies and in Their Proportionate Liability" issued to form a part of this policy, duly executed on behalf of the companies subscribing such endorsement and mailed or delivered to the named
- insured, and the named insured further agrees that regardless of such changes:
(1) each company subscribing this policy upon its issuance shall be liable only for its stated proportion of any obligation assumed or expense incurred under this policy because of bodily injury or property damage caused, during the period from the effective date of this policy to the effective date of the first such endorse-ment, by the nuclear energy hazard; (2) this policy shall remain continuously in effect froin the effective date stated in the declarations until terminated in accordance with Condition 3 or Condition 15; (3) neither the liability of any company nor the limit of liability stated in the declarations shall be cumulative from year to year.
DECLARATIONS By acceptance nf this policy the named insured tt Q agrees that thc statements in thc declarations are the agreements and rcprescntations of the named insured, that this policy is issued in reliance upon the truth of such representations and that this policy cmbndics all agreements between the named insured and the com-panies or any of their agents relating to this insurance.
MUTUALPOLICY CONDITION This policy is nonassessable.
The named insured is a member of each of the companies and shall par-ticipate, to tlic extent and upon the conditions fixe and deterinined by its lioard of directors in accordance with the provisinns of laiv, in the distribution of dividends so fixed and dcteitnined.
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NUCLEAR ENERGY LlABILlTYPOLICY No. MF-.
MUTUAL ATOMIC ENERSY LIABILITYUNDERWRITERS AMERIGAN IvIUTUAL LIABILITYINsURANcE CGMPANY VfakeGel<I, l<lassachusetts LIBERTY MUTUAL INSURANCE COMPANY Boston, illassachuset ts EMPLOYERS MUTUALLIABILITYINSURANCE COIrIPANY oF WIscoNEIN Danseur AVisconsin LUMBERrlENS MUTUAI, CASUALTY COMPANY Chicagor Illinois HARDWARE MUTUAL CAsUALTY CDMPANY Stevens Point, %isconsin MIGHIGAN MUTUAL LIABILITYCoMPANY Detroit, Michigan The named insured is hereby notified that by virtue of this policy hc is a member of each of the companies and is entitled to vote either in person or by proxy at any and all meetings of each of thc companies, The annual meetings of each of the companies are held at the time and place stated herein.
This policy is nonassessable.
NOTICE OF ANNUALMEETINGS Thc annual meetings of AMERIOAN MUTUALLIABILITY INsURANOE Coi)PANY arc held at its home officc in Wakefield, Massachusetts, on thc third Wednesday of March in each year, at clcvcn o'clnck in thc morning.
Thc annual meetir)gs of LIBERTY MUTUAL INsURANcF.
Cowl ANY arc held at its home OAicc in Boston, Massa-chusetts, on thc sccon<l Wcdncsday of April in each year, at clcven o'lock in the morning.
Thc annual meetings of KSIPLOYERS MUTUAI.LIABILITY INsURANcE CoslPANY oF WlscoNsltl arc held at its home office in Wausau, Wisconsin, on thc third Friday of February in each year, at ten o'clnck in thc moll)ing.
The annual meetingS Of Lun)BER+ENS '~IUTUrtL CAS-UAITY ConfpANY arc held at its home offic in Chicago, Illinois, on thc third Tuesday of )Iay in each year, at elcvcn o'lock in thc morning.
Thc annual meetings of IIARDKVAREMUTUALCAsUALTY Cos))ANY arc held at its home nAice in Stevens 1'oint, Wisconsin, nn thc third Wcdncsday of April in each year, at nine o'lock in the morning.
Thc annual rncctings of <5'I)CIIIGAN MUTUAI.LIER)LITT CDSIPrxNY arc held at its home oAirc in Detroit, Riel)impar),
on thc last 'lhurs<lay of i>larch in each year at 10:30 o'lock in thc morning.
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